Ga. Budget Information
The Georgia Budget for State Fiscal Year 2008
In
January 2007, Governor Perdue must propose a budget for State Fiscal Year
2008 which begins July 1, 2007. The budget must accommodate the cost of
continuing to operate current programs at present levels, as well as any
improvements such as salary increases or enhanced services. Education (K-12)
and the University System (Board of Regents), Medicaid, PeachCare, the State
Health Benefit Plan, and Corrections account for over 80% of all state
general fund spending. Revenue growth in FY 2008 of 5-6% would be required
just to continue these programs as is. The state will need another 1-2%
growth to pay for 3% salary increases for employees and teachers and to fund
some needs in human services programs outlined by the Department of Human
Resources. In addition, the state needs to replenish funds in the Revenue
Shortfall Reserve and plan for midterm adjustments in education funding
based on enrollment. The Georgia Budget and Policy Institute estimates that
the state will need revenue growth in 2008 of 8-10% or $1.4 -$1.8 B over the
current budget of $17.6 B.
To plan for FY 2008, Governor Perdue’s Office of Planning and Budget issued budget instructions to agencies that “…budget enhancements will only be considered where a reduction of an equal or greater amount is proposed.” However, agencies were allowed to ask for additional funds for “base adjustments” due to workload and enrollment increases without identifying cuts elsewhere. The budgets agencies have proposed based on this directive lack the level of specificity we have seen in previous years. The Governor’s budget address in January will doubtless fill in more detail. For more detail on the budget picture and highlights of Education, Board of Regents, Community Health, Human Resources, and Corrections budget proposals from the Georgia Budget and Policy Institute, click here: FY 2008 State Budget Outlook. The Department of Community Health and the Department of Human Resources also have more information about their budgets on their web sites. See DCH Budget Information and DHR Budget Information.
Watch for more details and analysis on this site after Governor Perdue proposes his budget to the General Assembly which convenes January 8, 2007.